Drawing up and delivery of annual financial reports i.e. external reporting is determined by a number of legal provisions in the Republic of Croatia. Nevertheless, the enterprises are obliged to deliver their annual financial reports and other documentation for the needs of public announcement and statistical records to the Financial Agency only. Thus, the delivery of the annual financial report at one place satisfies the need of public announcement, Court Register, State Bureau of Statistics and partially the needs of the Tax Administration and the Croatian National Bank.The author of the article describes the procedure of drawing up annual financial reports and their delivery to the Financial Agency.
Autor: Mr. sc. Đurđica JURIĆ, dipl. oec. i ovl. rev.
Annual financial reports represent an important source or information for the company's owner and management. According to the Accounting Act these reports are obligatorily used for the statistical needs, open publishing and other needs outside the company. The article describes the procedures to be made by companies regarding delivery of financial reports to beneficiaries outside their companies.
Depending on the form of the capital involved, companies have specific organs authorized for determination of annual financial reports. These organs make a decision on the use of profit and loss coverage and are obliged to deliver such reports to beneficiaries. The authors of the article analyse the procedure of determination of annual financial reports and distribution of the determined profit or loss for the year of 2009 in accordance with the legal provisions and company's by-laws.
Autori: Dr. sc. Vlado BRKANIĆ, ovl. rač. i ovl. rev. Tamara CIRKVENI, mag. oec., univ. spec. oec.
The Amendments of the VAT Act and VAT Rulebook became effective on 1 January 2010. One of the new provisions refers to the taxation of crediting i.e. the taxation of interests. Due to a large number of granted credits or loans there are many questions such as: Should interests be calculated?, Should VAT be paid on interests? What are the consequences of non-calculation of interests and VAT? The article deals with the obligation of calculation and payment of VAT when loaning of funds has been carried out between different parties and the contract on loan is based on the Act on Obligatory Relations.
Autor: Mr. sc. Katarina HORVAT JURJEC, dipl. oec. i ovl. rač.
Recently there have been a lot of questions regarding recognition of taxes paid abroad since many Croatian companies which export their rights to intellectual property, interests, dividend and other receipts pay the tax after deduction abroad. This article analyses the issue of recording the income from services on which a profit tax has been paid abroad as the possibility of recognizing such a tax in the Republic of Croatia.
Public utility services primarily comprise the provision of utility services to physical and legal persons and financing the construction and maintenance of buildings and equipment of the utility infrastructure as a complete system in the area of the units of local government (towns and municipalities) and counties. The providers of public utility services are usually the companies founded by the units of local government. However, some services are often provided by privately owned companies, which obtain the concession or sign the contract on provision of public utility services. The article presents the procedures of calculation of the provided services, taxes, compensations and contributions for water supply.
The end of a business year is usually the time when the company's management is obliged to analyse the company's performance in the previous period. Such an analysis comprises the issues of what has been achieved or left undone and the most important one – how to continue? The analysis of a company's performance provides the answers to these questions, it represents a pre-condition for diagnosis and therapy, decision-making and measures to be taken in order to improve a company's performance. The analysis of a company's performance based on the annual financial reports helps to realize the positive and negative sides of a company's business operations. Only the knowledge on a company's performance enables the activities aimed at resolving the weaknesses and improving company's strengths. Therefore, the analysis of a company's performance represents not only the basis for understanding the previous and present performance but is important for determining its future as well.
The article presents the examples of recording in budgetary accounting referring to the business events of acquisition of ownership rights by the units which are budget beneficiaries.
Autor: Mr. sc. Nada DREMEL, dipl. oec., ovl. rač. i ovl. rev.
The article deals with legal persons within the non-profit system, which present their business events in the system of non-profit or budgetary accounting. In the VAT taxation system both groups of legal persons are principally divided into two basic groups: non-profit organizations and public organizations. In most cases non-profit organizations have a non-profit accounting system and public organizations have a budgetary accounting system. The accounting system does not affect the position of non-profit organizations in the VAT system. This article explains their specific position and offers solutions of some doubts regarding the application of the Value Added Tax Act.
Autor: Mr. sc. Nada DREMEL, dipl. oec., ovl. rač. i ovl. rev.
The article describes recording in the non-profit accounting referring to income with an emphasis on the business events of income regarding the current accounting period.
Autor: Mirela GLAVOTA, dipl. oec., ovl. rač. i ovl. rev.
There are three Acts which regulate employees' rights within the obligatory health insurance: the Act on Obligatory Health Insurance, the Act on Obligatory Insurance of Health Protection at Work and the Act on Maternity and Parent Benefits. Accordingly, the employees' rights in case of illness or maternity leave are separately regulated from the employees' rights in case of injury at work or professional diseases. However, the way of determination of compensations in all these cases is similar with certain specifics regarding individual cases. The article deals with the compensation of salary to employees on sick-leave and the way of its determination in case of illness.
Autor: Lucija TURKOVIĆ-JARŽA, dipl. oec. i ovl. rač.
A contract on employment can comprise a full-time or part-time period. In order to keep the working post or to have lower expenses for salaries employers often offer to their employees a contract on part-time employment as one of the instruments against the crisis. The article presents employees' rights employed on a part-time basis and the procedure of calculation and payment of salaries.
The article provides a review of certain suggestions made by the European Commission referring to the debtor crisis in the EU countries such as: development of heavy industry, aid centres for small companies, fund for purchase of bad assets in the Middle and East Europe, rules on bank control, system of employment in European institutions, etc.
Zakonom o sprječavanju pranja novca i financiranja terorizma po prvi se put uvodi obveza procjene rizika od zloporabe za pranje novca i financiranja terorizma. Svi su obveznici primjene Zakona obvezni provesti procjenu i analizu rizika za svaku pojedinu stranku, poslovni odnos, transakciju ili proizvod. Dubinsku analizu treba provesti do kraja 2009. na temelju procjene rizika.
Expecting the entry of the Republic of Croatia into the EU the changes of the VAT provisions represent a step closer to such a goal. However, a complete compliance of the VAT Act will be realized when the Republic of Croatia becomes a member of the European Union. Then the new Act will become effective. Although it seemed that such changes represent a minor adjustment within the VAT system it can be seen that these changes have comprised almost all companies, especially those which were not obliged to pay the value added tax until the end of 2009. Just a small number of companies are expected to perform VAT free transactions from 1 January 2010. The article deals with the news regarding realization of income, tax exemptions, division of pre-paid taxes, etc.
Autor: Mr. sc. Ljerka MARKOTA, dipl. oec. i ovl. rač.
The specific procedure of margin taxation in the sales of second-hand goods, works of arts, collector's things and antiques can be applied by the so-called middle-men – VAT payers – according to certain regulations, which means that they have to calculate VAT on the realized earnings only, i.e. margin. In such a case it is not important whether this tax payer acts on his/her account or somebody else's account according to the contract in which the commission upon sales or buying is determined. The article describes the procedure of determining a tax liability when a businessman buys and re-sells second-hand goods, works of art, antiques, etc.
Autori: Mr. sc. Ljerka MARKOTA, dipl. oec. i ovl. rač. Jasna VUK, dipl. oec. i ovl. rač.
The Amendments of the Value Added Tax and the Value Added Tax Rulebook, which became effective on 1 January 2010 contain some new provisions regarding the taxation of financial services in the value added tax system. One of the novelties refers to the introduction of the functional tax exemption which referred to institutions until 31 December 2009. All the bank services, including those provided by the Croatian National Bank, savings banks and credit unions as well as insurance and re-insurance companies were exempted from value added tax payment. The article deals with the changes referring to the value added tax payment liability and their compliance with the EU regulations.
Upon payment of taxes, contributions and public payments legal and physical persons engaged in registered economic activities and citizens often incorrectly fill-in a payment order form by entering the wrong account number, the model of payment or the reference number of approval. Consequently, the paid assets can be sent on the wrong budget account or payment account or to the wrong number of the type of income, which would mean that the tax liability has not been settled or that some other public income has been overpaid. Therefore, the persons involved in the payment system should make a claim for return or re-recording of assets to the authorized tax office immediately after they have found a mistake. They are obliged to permanently adjust their book-keeping events with the authorized tax office or some other authorized institutions.
Autor: Mr. sc. Mirjana MAHOVIĆ KOMLJENOVIĆ, dipl. oec.
The article deals with the Act on General Administrative Procedure as the general act and the General Tax Act as a specific act. A specific point is given to the fields of subsidiary application of the general act and the differences, especially the specifics in procedures made by tax authorities in taxation procedures in order to determine, supervise and collect public payments.
Although the package of the so-called crisis taxes from August 2009 changed the amount of a special tax and the way of calculation of tariffs on vessels and aircrafts, on 15 February 2010 the latest amendments became effective, which primarily refer to the amount of the special tax. A special tax on vessels is paid only when such vessels are used for sports and recreation whereas a special tax on aircrafts is paid when they are used for private purposes. Accordingly, a special tax in both cases is not paid when vessels and aircrafts are used for performance of registered activities. Therefore, it is surprising that the new amendments are actually in favour of non-entrepreneurial purchase due to the substantial decrease of the amount of a special tax. However, the companies which are in a better financial position pay higher taxes. The article deals with the above stated amendments and provides the instructions how to calculate a special tax on vessels and aircrafts from 15 February 2010.
Autor: Mr. sc. Ljerka MARKOTA, dipl. oec. i ovl. rač.
Upon payment of taxes, contributions and public payments legal and physical persons engaged in registered economic activities and citizens often incorrectly fill-in a payment order form by entering the wrong account number, the model of payment or the reference number of approval. Consequently, the paid assets can be sent on the wrong budget account or payment account or to the wrong number of the type of income, which would mean that the tax liability has not been settled or that some other public income has been overpaid. Therefore, the persons involved in the payment system should make a claim for return or re-recording of assets to the authorized tax office immediately after they have found a mistake. They are obliged to permanently adjust their book-keeping events with the authorized tax office or some other authorized institutions.
Autor: Mr. sc. Mirjana MAHOVIĆ KOMLJENOVIĆ, dipl. oec.
On 9 April 2010 the transitional six-month-period expires, during which the owners or beneficiaries of catering units serving drinks only had to adjust the smoking area according to the valid technical and other conditions and to obtain the decision of the authorized ministry on fulfilment of such conditions.
A large number of new acts have resulted in the need for the amendments of the Rulebook on keeping the Master File of the Croatian Institute for Pension Insurance. Accordingly, its regulatory provisions are changed, including the forms for keeping the Master File. The article deals with the application of the above stated Rulebook comprising the master file of the insured persons, the applicants, obligatory documents, determination of years of service of the insured person, filling-in the form.
In his book Four Bitter Messages from Crisis Year of 2009 (Standard, 16/17 January, 2010) J. Stiglitz presents the interaction between the financial sector and the real sector of the global economy. The perception of such interactions is essential in finding the solutions for the current crisis.
